Malaysian Authorities Arrest Seven in Crackdown on Bitcoin Mining Electricity Theft

Malaysian authorities recently arrested seven people for stealing electricity related to bitcoin mining. This action is part of a larger effort to tackle power theft connected to cryptocurrency operations.

Last week, police conducted a special operation targeting illegal bitcoin mining activities. According to local media, three residents and four foreign nationals were detained on suspicion of stealing electricity to run their mining rigs.

Sepang District Police Chief ACP Wan Kamarul Azran Wan Yusof noted that these individuals had no prior criminal records. The goal is clear: to identify and stop illegal bitcoin mining that involves power theft.

During the operation, authorities seized 52 bitcoin mining rigs and other electronic devices. The total value of the confiscated equipment is estimated at 250,000 Malaysian Ringgits (about $57,000). This operation is part of a broader crackdown on power theft linked to bitcoin miners.

According to Akmal Nasrullah Mohd Nasir, the deputy minister for energy transition and water transformation, crypto miners in Malaysia have stolen at least RM3.4 billion (around $777 million) worth of electricity from 2018 to 2023.

In recent years, crypto mining has shifted from China, which banned all mining activities in 2021, to other countries like the U.S., Malaysia, Indonesia, Laos, and Thailand. These Southeast Asian nations attract miners due to their competitive electricity prices, skilled labor, and existing infrastructure.